FxWirePro: Sell CAD/JPY on rallies

• Major resistance – 90.15 (61.8% retracement of 91.63 and 87.78).
   
• CADJPY formed minor bottom at 87.78 and started to jump from that level. The pair hits intraday high of 89.73 and started to decline. It is currently trading around 89.44.
   
• The pair’s bullish continuation can be seen only above the level of 90.16. The intraday support is around 89.30 (20- 4H MA) and any break below will drag the pair 88.99 (4H Kijun- Sen)/ 88.56 (61.8% retracement of 87.78 and 89.80)/88.
   
• On the higher side, near term resistance is around 90.16 and any break above will take the pair to next level till 91/91.63. Bullish continuation can be seen only above 91.63.
   
• Markets await Bank of Canada (BOC) Governor Poloz speech for further direction. The central bank has kept its interest rates on hold in previous meeting. But sudden surprise in Canadian jobs data which has been released previous week and also rising crude oil prices might increase chance of rate hikes in first quarter of 2018.

It is good to sell on rallies around 89.75-80 with SL around 90.20 for the TP of 89/88.70.